The Legislative Package includes:
1. Fixed price period The carbon pricing mechanism will commence on 1 July 2012, with a price that will be fixed for the first three years. The price will start at $23 per tonne and will rise at 2.5 per cent each year in real terms.
2. Emissions trading scheme On 1 July 2015, the carbon price will transition to a fully flexible price under an emissions trading scheme, with the price determined by the market.
The $9.2 billion Jobs and Competitiveness Program will provide significant support for jobs and protects the competitiveness of these emissions-intensive trade-exposed industries. An Energy Security Fund will be established to ensure there is a smooth transition which preserves energy security.